Federal Government package for out-of-trade apprentices & trainees

[Fiona Kelly]

$145 Million to secure jobs and apprenticeships

In a speech to the Sydney Institute, the Deputy Prime Minister announced a new $145.6 million package to help secure the jobs and training of apprentices and trainees in these difficult times.

As part of the Rudd Government’s plan to support jobs, Securing Apprenticeships will provide a pathway for out-of-trade apprentices and trainees to remain connected to the workforce and maintain their training.

Employers will also be encouraged to retain apprentices and trainees through an additional completion payment.

In tendering new Australian Government funded infrastructure projects, preference will be given to businesses which demonstrate a commitment to retain and employ new trainees and apprentices.

Out-of-trade apprentices are former apprentices or trainees who did not successfully complete their apprenticeships due to being “laid-off” by their employers.

During an economic downturn, employers may find it more challenging to maintain their support for apprentices and trainees.

By Securing Apprenticeships now, the Rudd Government will ensure that we continue to build the national skills base allowing Australia to grow as the economy recovers.

Employers and Group Training Organisations may be eligible to receive up to an additional $2,800.

An additional $1,800 is available for employers or Group Training Organisations taking on an eligible out-of-trade apprentice or trainee in the form of a wage subsidy of $150 per week paid in arrears at the twelve week point after recommencement.

An additional completion payment of $1,000 is payable on successful completion of eligible apprentices or trainees.
These payments will be on top of existing apprenticeship incentive payments.

The Securing Apprenticeships wage subsidy will be available to employers, including Group Training Organisations, who recommence an eligible out-of-trade apprentice or trainee on or after 1 January 2009.

The Securing Apprenticeships completion payment will be available to employers, including Group Training Organisations, who successfully complete an eligible apprentice or trainee on or after 1 January 2009.

Payments will be backdated to 1 January 2009 and will be made through Australian Apprenticeships Centres. These incentives will be available for two years until 31 December 2010. 

To ensure Australia’s skills base is protected and maintained the program will be targeted at apprentices or trainees at the Certificate III and IV level in areas of skills shortage, as defined by the National Skills Needs List, and at selected Diploma and Advanced Diploma level qualifications.   

The Rudd Government has taken decisive and early action to secure Australian jobs and protect the Australian economy from the global financial crisis.

The Government is investing in nation building and education and training to help the Australian economy and the Australian people to weather the worst impacts of the global recession.

Media Contact:   Deputy Prime Minister's Press Office: 02 6277 7758